Positive reviews are often worth a response, too

Sometimes Karen Powell can't help but respond to a good review. "It's an emotional thing."

Ms. Powell just wants customers to be happy. So when her Indian restaurant gets a negative online review, she's quick to make it right, as she did when a promotion gone awry left a bad impression. She apologized to the customer and offered him a small gift card. He was so grateful that he updated his review, this time focusing on the quality of the food instead of the temporary lapse in customer service. To up the odds that she responds appropriately, Ms. Powell often checks reviewers' commenting history first. "It gives me some perspective on where they're coming from," she says, "so I can decide how best to handle it."

But she doesn't stop at negative reviews. She responds to the good ones, too. This, despite the fact that Yelp and other sites caution, essentially: "This person is happy—are you sure you want to say anything else?" But Ms. Powell says it's human impulse. "When someone gets what we're trying to do, I can't help but say, 'Thank you so much; you made my day,' " she says. "It's an emotional thing."

Entrepreneur: Karen Powell, 52

Company: OMango, Aurora

In business: Since March 2012

PRO TIP: Are there pitfalls in responding to positive reviews?

"It never hurts to say thank you," says Adam Hartung, who owns Long Grove-based Spark Partners, a leadership and management consultancy. But "I wouldn't go overboard with a 'you made my day' sort of comment. You should be as even-keeled about good feedback as bad feedback."

Dillon White, owner of Dillon M. White Digital, a Chicago marketing firm, suggests a different approach. Don't just thank the customer—also ask what you can do better. "Don't settle," he says. "A business can always do more."

SMALL BUSINESS

Thanks to social media, customers can now air grievances – real or imagined – in real time, for all the world to see. The result can be overwhelming for a small business. How best to respond? Or should you?